Practice point: A party seeking to pierce the corporate veil must establish (1) that the owners exercised complete domination of the corporation in respect to the transaction attacked, and (2) that this domination was used to commit a fraud or wrong resulting in plaintiff's injury.
Practitioners should note that it also must be established that the defendants abused the privilege of doing business in the corporate form to perpetrate a wrong or injustice against the plaintiff such that a court of equity should intervene.
Case: Lawlor v. Hoffman, NY Slip Op 01088 (2d Dept. 2009)
The opinion is here.
Tomorrow’s issue: Legal malpractice.
